PANews reported on February 22 that investor and Coin Metrics founder Nic Carter published an article discussing the current state of prediction markets, arguingPANews reported on February 22 that investor and Coin Metrics founder Nic Carter published an article discussing the current state of prediction markets, arguing

Investor Nic Carter: The prediction market is still immature and faces problems such as insider trading, market fragmentation, and a lack of natural buyers and sellers.

2026/02/22 09:41
2 min read

PANews reported on February 22 that investor and Coin Metrics founder Nic Carter published an article discussing the current state of prediction markets, arguing that while they are projected to become a cultural phenomenon by 2025/26, they still fall far short of the potential envisioned by their early proponents. He pointed out two major structural problems plaguing prediction markets.

  • First, market fragmentation and the lack of natural buyers and sellers make it difficult to serve as an effective hedging tool ( the more favorable the market is to hedgers, the worse its liquidity . For the concept of "corporate hedging" to operate effectively, a large number of speculative noise traders are needed to effectively "subsidize" these short positions by shorting).
  • Secondly, part of the value of market prediction lies in revealing insider information, but such behavior is usually illegal and may ultimately lead to traders losing confidence in the market.

Furthermore, he mentioned that current prediction markets primarily rely on sports betting for survival, but in non-sports sectors, insider trading scandals could raise questions about market fairness among traders, ultimately leading to user churn. While prediction markets have social value, Carter believes that realizing the vision of early proponents still faces significant challenges, and the future focus may be more on sports and cultural markets.

Market Opportunity
Major Logo
Major Price(MAJOR)
$0,07044
$0,07044$0,07044
-5,10%
USD
Major (MAJOR) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Pi Network (PI) Daily Market Analysis 22 February 2026

Pi Network (PI) Daily Market Analysis 22 February 2026

Pi Network's anniversary update – here's the latest: • Marked 1st mainnet anniversary on 20 February 2026, outlining next phase priorities • Key focuses: expanding
Share
Coinstats2026/02/22 12:24
United States Building Permits Change dipped from previous -2.8% to -3.7% in August

United States Building Permits Change dipped from previous -2.8% to -3.7% in August

The post United States Building Permits Change dipped from previous -2.8% to -3.7% in August appeared on BitcoinEthereumNews.com. Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted. The author and FXStreet are not registered investment advisors and nothing in this article is intended…
Share
BitcoinEthereumNews2025/09/18 02:20
Pump.fun (PUMP) Daily Market Analysis 22 February 2026

Pump.fun (PUMP) Daily Market Analysis 22 February 2026

Pump.fun faces turbulence amid team sell-offs and platform challenges – here's the latest: • Acquired Vyper Trading Terminal for professional tools (06 February
Share
Coinstats2026/02/22 12:32